Efficiency Calculations Flashcards Preview

A Level Business Studies - Accounting And Finance > Efficiency Calculations > Flashcards

Flashcards in Efficiency Calculations Deck (5):
1

What is the formula for the non current asses turnover

Revenue / non current assets

2

How do you work out stock turnover (2 steps)

1. Cost of sales / average stock held
2. 365 / ANS

3

What are the names of the four efficiency calculations you need to know

1. Net current asset turnover
2. Stock turnover
3. Intrest cover
4. Gearing

4

What’s the calculation for intrest cover

Total profit before tax and intrest / intrest

5

What is the gearing ratio

1. Gearing % = loans / (loans + shares + profits)
2. ANS x 100